New Delhi,: The Enforcement Directorate (ED) has placed the prosecution sanction order received from the competent authority against P. Chidambaram, the then Union Finance Minister, for the offence of money laundering in the Aircel Maxis deal, before the Special Court, according to a statement issued by the financial investigative agency on Thursday.
The prosecution sanction order, which was obtained on February 10, 2026, “has been placed before the Special Rouse Avenue Court to expedite the trial in the case,” the ED statement said.
The ED had initiated the investigation under Prevention of Money Laundering Act (PMLA) on October 9, 2011, registered by the Central Bureau of Investigation (CBI) in the Aircel Maxis case against offences punishable under Section 120-B read with Section 420 of the Indian Penal Code, 1860, and Sections 8, 13(2) and 13(1)(d) of the Prevention of Corruption Act, 1988.
In the case filed immediately, the investigation has revealed that Chidambaram has granted the Foreign Investment Promotion Board (FIPB) approval to Aircel Maxis in lieu of the quid pro quo.
In the Aircel Maxis deal, the foreign investor (Maxis) applied for approval of the government for FDI of $800 million (Rs 3,565.91 crore), for which, the competent authority for approval was Cabinet Committee on Economic Affairs (CCEA).
“However, as part of larger conspiracy, approval was fraudulently and dishonestly granted by the then Finance Minister Chidambaram on March 20, 2006, who was competent to consider and approve FDI proposals involving total investment of Rs 600 crore or less,” the statement noted.
Investigation has revealed that illegal gratification of Rs 1.16 crore was received by Karti Chidambaram in his companies M/s Advantage Strategic Consulting Private Limited (ASCPL) and M/s Chess Management Services Private Limited (CMSPL).
Investigation has revealed financial transactions between P. Chidambaram and his son Karti Chidambaram.
Investigation has also said that funds of ASCPL have also been spent for and on behalf of P. Chidambaram, the statement said.
The proceeds of crime amounting to Rs 1.16 crore have been provisionally attached and that has been confirmed by the adjudicating authority with order dated March 12, 2018.
Subsequently, a prosecution complaint under Sections 44 and 45 read with Sections 3 and 4 of the PMLA dated June 13, 2018, and the supplementary prosecution complaint dated October 25, 2018, was filed before the Special PMLA Court at New Delhi’s Rose Avenue wherein P. Chidambaram was arraigned as accused number six.
“The Special Court vide its order dated November 27, 2021, took cognisance of the commission of an offence of money laundering. The Enforcement Directorate has been making all efforts to fast track the trial in the case,” the statement said.
The Supreme Court pronounced a judgement on November 6, 2024, in the case “Enforcement Directorate vs Bibhu Prasad Acharya, etc.” and held that the requirement of the prosecution sanction under Section 197(1) of the CrPC is applicable to a complaint filed under Section 44(1)(b) of the PMLA, 2002, as well.
Subsequent to the Apex court’s judgment, many accused persons charged under the PMLA, 2002, have challenged the trial proceedings in multiple legal forums, leading to delay in the trial.
“To counter such delay and to comply with the Supreme Court order, the ED has swiftly initiated remedial actions by seeking prosecution sanctions in all such prosecution complaints involving public servants,” the statement noted.
“Therefore, in light of the said order of the Supreme Court, the sanction was obtained from the competent authority on February 10, 2026, along with this court order under Section 197 of Code of Criminal Procedure, 1973 (Section 218 of Bhartiya Nagrik Suraksha Sanhita, 2023, dated February 10, 2026) for prosecuting P. Chidambaram in respect of the offence of money laundering,” the statement said.
(IANS)
